As the ÎÚÑ»´«Ã½ government piles up more debt ahead of this October’s election, Premier David Eby announced in Chilliwack on Monday some modest increases to the BC Family Benefit, previously disclosed during the spring budget.
Recipient families of the tax-free monthly benefit will see an average annual increase of $445 starting with the first monthly payment in July. Plus, the government has raised the net income threshold to include partial benefits for more families.
For instance, families with net income below $114,887 will be guaranteed the following minimum amounts annually: $969 for a family's first child (up from $775); $937 for a family's second child (up from $750); and $906 for each additional child (up from $725).
, that net income threshold was $87,533 for those minimum payments.
About 340,000 families with children, which is 66,000 more than last year, will receive the benefit through monthly deposits in their bank accounts or mailed cheques, as administered by ÎÚÑ»´«Ã½ Revenue Agency and as a combined payment with the federal ÎÚÑ»´«Ã½ Child Benefit.
The maximum benefit will go to families with a net income less than $35,902, up from last year’s threshold of $27,354.
And, the maximum payment will increase for those low-income families: $2,188 for a family's first child (up from $1,750); $1,375 for a family's second child (up from $1,100); and $1,125 for each additional child (up from $900).
Beyond the maximum payment, the benefit is reduced gradually. For example, the annual payments (spread out in 12 monthly payments) will vary between $969 and $2,188 for the first child, for family net incomes between $35,902 and $114,887, respectively.
A two-parent family with two kids will, on average, receive $1,760, with the maximum amount set at $3,563 annually. Single-parent families typically qualify for higher payments and will receive, on average, $2,790 annually, according to a government statement issued Monday.
According to a recent Food Banks ÎÚÑ»´«Ã½ on ÎÚÑ»´«Ã½, 60.7 per cent of government support recipients say rates are “insufficient to keep up with cost of living.”
The report acknowledged progress from the government on increasing the family benefit.
Last April, following the budget announcement, S&P Global Ratings the ÎÚÑ»´«Ã½ government’s credit rating from AA to AA- citing a “relatively steep increase” in debt through to spring 2027.
S&P states in its April 8 report ÎÚÑ»´«Ã½’s debt is projected to rise from $89 billion to $156 billion between 2022 and 2027.
S&P stated ÎÚÑ»´«Ã½ has “maintained focus on taxpayer affordability” while “investing in infrastructure at unprecedented levels,” as cost of living pressures are put on British Columbians.
